EBA欧洲银行-Notification_of_unavailability_of_deposits_at_ABLV_Bank_AS_2018041870121_2页_1mb

ABLV Bank AS Deposit Unavailability Notification Summary

Core Content

This document is a formal notification from the Financial and Capital Market Commission (FCMC) of Latvia to the European Banking Authority (EBA), specifically to Andrea Enria, the Chairperson, regarding the unavailability of deposits at ABLV Bank AS. The notification outlines the timeline of events leading to the decision on deposit unavailability and the subsequent process for paying out guaranteed compensations to depositors.

Key Events and Timeline

• 19 February 2018: The FCMC imposed temporary payment restrictions on ABLV Bank AS, prohibiting debit operations in all currencies for its customers.
• 23 February 2018: The European Central Bank (ECB) determined that ABLV Bank AS and its Luxembourg subsidiary were failing or likely to fail, based on the Single Resolution Mechanism Regulation.
• 27 February 2018: The FCMC decided to start paying out guaranteed compensations to ABLV Bank AS depositors.
• 3 March 2018: The disbursement of covered deposits began.
• 22 February 2023: The general disbursement process is expected to conclude, unless specific circumstances arise that require further action.

Main Points and Views

• Deposit Guarantee Scheme: The FCMC is the designated authority responsible for administering the Latvian deposit guarantee scheme.
• Unavailability of Deposits: The decision on unavailability was made due to the inability of ABLV Bank AS customers to access their deposits since 19 February 2018.
• Compensation Pay-Out: The FCMC initiated the pay-out of guaranteed compensations, which were disbursed solely from the assets of ABLV Bank AS.
• Agent Bank: The FCMC granted the right to enter into a contract with "Citadele banka" as an agent bank for the pay-out process.
• Duration of Pay-Out: The disbursement process is expected to continue until 22 February 2023, unless the reasons for refusal of compensation no longer exist, in which case it will continue for an additional 5 years.

Key Information

• Bank Name: ABLV Bank AS
• Location: Latvia
• Number of Depositors: 22,857
• Covered Amount: EUR 487 million
• Notification Date: 17 April 2018
• Reference Number: 07.01.04/1521
• Contact Details:
  • FCMC: E-PASTS FKTK@FKTK.LV
  • Website: www.fktk.lv
  • Address: Kungu Iela 1, Riga, LV-1050

Conclusion

The notification highlights the administrative steps taken by the FCMC in response to the financial difficulties of ABLV Bank AS. It emphasizes the transition from payment restrictions to the compensation pay-out process, ensuring that depositors are protected under the Latvian deposit guarantee scheme. The timeline and process for compensation disbursement are clearly outlined, with a focus on transparency and legal compliance.